In order to avoid the erosion of democracy by social exclusion, European scholars have painstakingly studied the policy implications of social exclusion. This article adopts social exclusion as a conceptual tool to describe and analyze a variety of social disadvantages encountered by unemployed workers. Based on the qualitative data derived from in-depth interviews of 25 unemployed workers in Kaohsiung and Pingtong, this article also investigates how social networks and benefits mechanisms work as a cushion to alleviate the strains caused by unemployment. Since social exclusion is a dynamic process which is substantially affected by the resources possessed by the individuals concerned, this article identifies four types of social adaptation, and social exclusion is treated as one of the four which would only adversely affects those who possess neither formal nor informal social support.